Accounting Cycle quiz Financial Accounting Quiz On Mar 17, 2024 Share /10 12345678910 Accounting Cycle 10 questions in 10 minutes Answers at the end of the exam Pass Score 70% The questions change when you repeat the exam enter full-screen mode by pressing the icon located in the top- right comer of the exam 1 / 10 In a classif ed balance sheet, assets are usually classifed using the following categories : current assets; long-term assets; property, plant, and equipment; and intangible assets current assets; long-term investments; property, plant, and equipment; and tangible assets current assets; long-term investments; property, plant, and equipment; and intangible assets current assets; long-term investments; tangible assets; and intangible assets 2 / 10 Which types of accounts will appear in the post-closing trial balance? Permanent (real) accounts Temporary (nominal) accounts Accounts shown in the income statement columns of a worksheet None of the above 3 / 10 When the Company purchased supplies worth $100, it incorrectly recorded a credit to Supplies for $1,000 and a debit to Cash for $1,000. Before correcting this error : Cash is understated and Supplies is understated Cash is understated and Supplies is overstated Cash is overstated and Supplies is understated Cash is overstated and Supplies is overstated 4 / 10 All of the following are required steps in the accounting cycle except : journalizing and posting closing entries preparing a worksheet preparing fnancial statements journalizing the transactions 5 / 10 An account that will have a zero balance after closing entries have been journalized and posted is : Prepaid Insurance Supplies Accumulated Depreciation—Equipment Service Revenue 6 / 10 Which of the following statements is incorrect concerning the worksheet ? The worksheet cannot be used as a basis for posting to ledger accounts The worksheet is essentially a working tool of the accountant The worksheet is distributed to management and other interested parties Financial statements can be prepared directly from the worksheet before journalizing and posting the adjusting entries 7 / 10 Cash of $100 received at the time the service was performed was journalized and posted as a debit to Cash $100 and a credit to Accounts Receivable $100. Assuming the incorrect entry is not reversed, the correcting entry is : debit Accounts Receivable $100 and credit Cash $100 debit Cash $100 and credit Service Revenue $100 debit Accounts Receivable $100 and credit Service Revenue $100 debit Service Revenue $100 and credit Accounts Receivable $100 8 / 10 The correct order of presentation in a classifed balance sheet for the following current assets is : cash, inventory, accounts receivable, prepaid insurance cash, accounts receivable, inventory, prepaid insurance inventory, cash, accounts receivable, prepaid insurance accounts receivable, cash, prepaid insurance, inventory 9 / 10 In a worksheet, net income is entered in the following columns : income statement (Cr) and balance sheet (Cr) income statement (Dr) and balance sheet (Dr) income statement (Cr) and balance sheet (Dr) income statement (Dr) and balance sheet (Cr) 10 / 10 Current assets are listed : by longevity by expected conversion to cash by importance alphabetically Your score is LinkedIn Facebook Twitter VKontakte 0% Send feedback Question topics Classified balance sheet Prepare a worksheet Preparing adjusting entries Preparing closing entries accountingaccounting examaccounting exam financial